GURGAON: The Economic Offences Wing (EOW) of Delhi Police has filed a chargesheet in a multi-crore alleged housing fraud case involving a Gurgaon-based affordable housing project, accusing a developer and its directors of cheating over 1,000 homebuyers and misappropriating funds worth more than ₹217 crore.The chargesheet, filed under Sections 406, 409, 420, 120B and 34 of the IPC in connection with FIR No. 132/2025, names developer Swaraj Singh Yadav and others linked to M/s Ocean Seven Buildtech Pvt Ltd, which was executing the “Expressway Towers” project in Sector 109, Gurgaon.According to the final report submitted before a Delhi court, the case originated from a complaint by Elan Kumaran Subramanian and several other allottees who alleged that they were induced to invest in the project on the promise of timely delivery and requisite approvals. The project, launched in 2016 under the Pradhan Mantri Awas Yojana (PMAY), was scheduled for possession by 2022.However, investigators found that despite collecting nearly 95% of the sale consideration from around 1,089 buyers—amounting to approximately ₹217 crore—the builder failed to complete construction or hand over flats within the promised timeline.The chargesheet alleges that funds collected from homebuyers were diverted and misused for purposes unrelated to the project. It further states that the accused persons engaged in unlawful practices such as cancelling units allotted to original buyers and reselling them to others without refunding payments.Investigators also flagged regulatory violations, noting that the project’s licence and Haryana RERA registration lapsed around 2021 and were not renewed. A penalty of about ₹21.5 crore remains pending due to these defaults.During the probe, the EOW found that the company allegedly misrepresented facts to buyers, claiming to have all statutory approvals in place. Buyers were persuaded through advertisements and marketing pitches, and many invested life savings in the project.The report further highlights suspected financial irregularities, including routing of funds through associated entities, indicating possible layering and siphoning. It also cites allegations of fraudulent land transactions in Maharashtra linked to the accused and concealment of company assets.On page 3 of the chargesheet, Swaraj Singh Yadav is shown to have been arrested in Dec 2025 and is currently in judicial custody.The EOW investigation relied on extensive documentation, including buyer agreements, bank records, correspondence, and regulatory filings, as detailed in annexures running into over 2,600 pages.Officials said the case points to a “systematic pattern of cheating, criminal breach of trust and financial fraud”, affecting a large number of middle-class homebuyers. Further proceedings in the matter are expected as the court takes cognisance of the chargesheet.
